INDUSTRIAL RELATIONS ACTS, 1946 TO 2004
SECTION 26(1), INDUSTRIAL RELATIONS ACT, 1990
TRINITY COLLEGE STUDENTS UNION
(REPRESENTED BY IRISH BUSINESS AND EMPLOYERS' CONFEDERATION)
- AND -
SERVICES INDUSTRIAL PROFESSIONAL TECHNICAL UNION
Chairman: Ms Jenkinson
Employer Member: Mr Grier
Worker Member: Mr Nash
1. Redundancy Terms- (Five Clerical Workers).
2. The issue in dispute concerns the redundancy terms on offer to five workers which the Employer is making redundant due to trading difficulties. The Employer is offering two weeks' pay per year of service plus statutory entitlements. The Union's claim is for six weeks' pay per year of service plus statutory entitlements. Management rejected the claim. The dispute was referred to the Labour Relations Commission. A Conciliation Conference was held but agreement was not reached. The dispute was referred to the Labour Court on the 11th August, 2006 in accordance with Section 26(1) of the Industrial Relations Act, 1990. A Court hearing was held on the 31st August, 2006.
3. 1. The Employer operates in the retail sector where redundancy settlements range from five weeks per year of service plus statutory to seven weeks per year of service inclusive of statutory.
2. In the University sector the Union has secured ten weeks' pay per year of service inclusive of statutory -(UCD C Catering refers).
3. The Union's claim is fair and reasonable in the circumstances.
4. 1. The Employer's financial position is untenable and a restructuring is unavoidable but the costs must be realistic. The Employer must ensure that as many jobs as possible are protected. If the Employer is required to pay an enhanced package it will necessitate further restructuring and put future jobs at risk.
2. The comparators in the retail sector cited by the Union are not valid comparators. The company is a non profit making organisation and cannot be compared to profitable large retailers. The small scale and structure of the organisation must be taken into account. Extra monies are not in existence to furnish a further enhanced redundancy package sought by the Union.
3. In order to facilitate the restructuring the organisation has negotiated a loan from Trinity College to part finance its restructuring over three years and to finance the redundancies.
Having considered the oral and written submissions of both parties, the Court recommends that the five employees being made redundant should be paid four and a half weeks pay per year of service, inclusive of statutory redundancy payments, in full and final settlement of the claim before the Court.
The Court so recommends.
Signed on behalf of the Labour Court
1st September, 2006______________________
Enquiries concerning this Recommendation should be addressed to Tom O'Dea, Court Secretary.